Cannon Beach: Tax tourists to attract tourist

By Oregon Tax News,

This week Canon Beach City Hall will be voting on a 1% lodging tax. This tax hike on tourists is designed to attract new tourists. The logic behind raising taxes on people as a way to attract them seems contradictory.

Here is an important question to ask. Why is there a tourism tax problem in Canon Beach? Oregon passed a tourist tax in 2003 (Hb 2267) and then expanded it in 2005 (Hb 2197). The 2005 expansion made headlines because it covered yurts and tents. If the tax is needed to help recover from the recession, then is the tax temporary? Consider the fact that since the passage of Measure 67 — every single business in Canon Beach already has a new tax. Now certain ones will be taxed more.

70% of the lodging tax must be used for tourism activities. Why not 100%? IS money being used for other pruposes not related to tourism or not needed altogether? This are the questions that need to be addressed at the tax hearing.